Regulatory Alerts2018-11-09
Instruction No. 003-DDI/2018 amending certain provisions of Instruction No. 001-DCR/2010 of 8 November 2010 on the procedures for reporting, processing, and exploiting information regarding cheque payment incidents
The Central Bank of Madagascar issued Instruction No. 003-DDI/2018 to amend its 2010 directive on cheque payment incident reporting by introducing a formal cancellation mechanism. The amendment establishes that the drawee bank may request cancellation within fifteen days solely for internal bank errors or unattributable loss of funds, under penalty of inadmissibility. All other provisions of the original instruction remain fully valid and the new rules take effect immediately upon notification to the Professional Association of Banks.
CENTRAL BANK OF MADAGASCAR
INSTRUCTION NO. 0003-DDI/2018
amending certain provisions of Instruction No. 001-DCR/2010 of 8 November 2010 on the procedures for reporting, processing, and exploiting information regarding cheque payment incidents
The Governor of the Central Bank of Madagascar,
Having regard to Law No. 95-030 of 22 February 1996 on the activity and supervision of credit institutions, as amended, known as the "banking law",
Having regard to Law No. 2004-045 of 14 January 2005 on the prevention and repression of cheque-related offences,
Having regard to Law No. 2016-004 of 29 July 2016, supplemented by Law No. 2016-057 of 2 February 2017 establishing the statutes of the Central Bank of Madagascar,
Having regard to Law No. 2017-018 of 19 December 2017 governing the Integrated Information System of the Central Bank of Madagascar,
Having regard to Decree No. 2006-281 of 25 April 2006 setting out the implementation procedures for certain provisions of Law No. 2004-045 of 14 January 2005 on the prevention and repression of cheque-related offences,
Having regard to Decree No. 2014-1684 of 29 October 2014 appointing the Governor of the Central Bank of Madagascar,
Having regard to Instruction No. 001-DCR/2010 of 8 November 2010 on the procedures for reporting, processing, and exploiting information regarding cheque payment incidents.
HEREBY DECIDES:
Article 1. – The provisions of Article 7 of Instruction No. 001-DCR/2010 of 8 November 2010 on the procedures for reporting, processing, and exploiting information regarding cheque payment incidents are amended as follows:
Article 7 (new): Cancellation of cheque payment incident declaration
7.1. Upon request by the drawee bank, BFM shall cancel the cheque payment incident declaration solely for the following reasons:
- error by the drawee bank's services,
- disappearance of funds following an event not attributable to any of the persons authorized to issue cheques on the account.
Under penalty of inadmissibility, this request submitted by the drawee bank must reach BFM within fifteen (15) days following the date of issuance of the related cheque payment incident declaration.
The remainder remains unchanged.
Article 2. – The other provisions of Instruction No. 001-DCR/2010 of 8 November 2010 on the procedures for reporting, processing, and exploiting information regarding cheque payment incidents remain fully valid.
Article 3. – Final Provision This Instruction shall enter into force upon its notification to the Professional Association of Banks.
Done in Antananarivo, on 09 NOV. 2018